My sister is in Salem Township and received a lease offer for $3,500/acre and 15% net royalty lease. Seems very low as I have heard of leases going for $7,500/acre or higher and 20% gross in Jefferson County. The wells in Jefferson County drilled in the past 2 years seem to be doing very well from what I have read and found online.
Anyone out there know of what the going rate in this area is? The property is within 1.5 miles of the Wayne Township line.
I am completely surrounded by Accent. Have you ever been involved in a forced pooling hearing? If so, what can I expect? I currently have an attorney negotiating for me , but I will relay your previous advice. Sounds as if your knowledge in this area is from experience. Any thoughts would be appreciated.
I was in your shoes once. I threatened being forcepooled. I did the math,and if drilled and in a producing unit,i would end up making more $$ "in the long run" than if I took the deal they were offering. BUT, it would take a year,or two before any $$ came my way after the well started making $$. Then they threatened back with the "we"ll go around you" possibility.
So how did it turn out? I don't think Accent has forced pooled in OH Yet, But I've been wrong once before. LOL
Family decision was to sign .same deal all the neighbors got. Chesapeake. turned out,they never drilled us anyway. Maybe Encino will?
We haven't had any interest in our holdings in Knox and Island Creek Twp since CHK let the leases expire. Larry P. the local attorney in Jefferson County told us recently that all the activity in Jefferson County is south of SR22 nothing nothing north yet. Perhaps Encino will start looking to use the CHK assets it purchased.
Jim, Ascent Resources and the company that bought the Chesapeake leases, Encino Energy, are both leasing north of SR22 in Wayne and Salem Townships. My sister's property is in Salem. She spoke to her attorney friend and was told things are moving further north in Jefferson County. Maybe your property in Knox and Island Creek will be of interest soon.